Demystifying Rural Communication Much Talk Less Achieved

by

NK Goyal, President CMAI

Chairman Emeritus, TEMA. Vice Chairman ITU APT India

Chairman, ITPS Dubai

Member, Governing Board Telecom Equipment and ServicesExport Promotion Council (Govt. of India)

17th December, 2012

www.cmai.asia, www.cmaievents.com, nkgoyals@yahoo.co.in

CES, 2009 being inaugurated and ribbon cutting at Las Vegas on 8th January, 2009 by NK Goyal with Sir Howard Stringer, Chairman & CEO of Sony Corporation, Mr. Tom Hanks, the American movie star, Mr.Gary Yacoubian, Chairman CEA & President of Myer-Emco AudioVideo, Mr. Gary Saprio, Vice President of CEA, Ms. Qu., Presixdent, CECC China, Mr. Patrick Lavelle, President and CEO of Audiovox, Mr. Peter Lesser, President and CEO of X-10 (USA) Inc, Mr. Loyd Ivey, Chairman and CEO of MiTek Electronics and Communications, Mr. Jay McLellan, President and CEO of Home Automation, Inc. (HAI), Mr. Mike Mohr, President of Celluphone, Mr.Grant Russell, President of Kleen Concepts 

Communication - the Human DNA

The importance of open, accessible, and relevant communications for fostering National development, Social fulfilment and human dignity, is undeniable. The more communicated a society is, the more opportunities it will generate.

Let us face it. The essence of communication is in the very DNA of each and every person on this earth viz. to communicate with each other without going into frivolous parameters decided by the Society.

Several initial ways of communications.

World Supports Rural EconomyMore than 2.5 Bn. people (about 40 per cent of the

world’s population) live in the rural and remote areas of developing countries where access to telecommunications is still very limited

Entire world, ITU, All Governments, UN give high priority to communications for rural and remote areas.

Valletta Action Plan (1998), Istanbul Action Plan (2002), WSIS Plan of Action (2003) all have confirmed the need to promote basic telecommunication, broadcasting and the Internet as tools for development in rural and remote areas.

So Then why still rural communication success is evading us- Attempt to demystify it

Tremendous growth of tele density in

urban areas, thanks to mobile technology, which has further widened the digital gap between rural and urban areas

Communication starts

In initial stages Communications was taken an essential need for citizens and duty of Govt. to provide it

Govt. invested heavily and started providing fixed line phones, wireless communication technology for defense, as monopoly, without any intention of profit rather as a service for its people. Getting a phone was always a matter of pride world over.

Somewhere down the line mobile technology started to be used for civil services as well.

Private sector saw profit and started lobbying for privatization. Govt. after Govt. started opening up. Tremendous success achieved by private sector in increasing

the reach and subscriber base.

Rural waiting

Realization started appearing up that rural communication is not speeding up. Ditto for broadband So world looked back to Govt. for growth in broadband For broadband, Govt. after Govt. started announcing plans

for investment and laying Optical fiber and increasing use of e services in Government

Big investments by Govt. for rural Communications are still awaited.

Every body in world looking for magic turn for rural communications.

Aims of Rural Communications

To put rural people in a position to have the necessary information for informed decision-making and the relevant skills to improve their livelihoods.

To have a close-knit family by connecting people across developed and developing parts of the world.

Benefits

People’s participation and community mobilization

Confidence buildingRaising awareness Sharing knowledge Changing attitudes, behaviours andLifestyles (e.g., female foeticide, rapes,

etc)Foster decision-making

May be for this smile?

Rural Communications-Difficulties

Problems of Rural Community as such:

◦ Spread and Diversity- the large number of consumers scattered across the Country with diverse geography, demography etc.

◦ Low population density large distances◦ Hard physical terrain not easy to access◦ Low per capital income leading to low ARPU◦ Low literacy Levels- Language and physical communication barriers◦ Poor Infrastructure Facilities- lack of roads, telecom facilities, postal services, TV,

prints media etc.

Rural communications face challenges driven by both technological and economic considerations.

◦ Backhaul connectivity◦ Erratic or lack of power supply, where the equipments are Largely power hungry.◦ Very expensive to build for smaller capacity.◦ Requires skilled manpower to install commission and maintain.◦ Designed and optimized for high – ARPU high density user base.◦ With High Capex and Opex affecting the business competitiveness

 

Technologies

Technologies are being created by scientists, engineers, researchers largely with passion for being the ”most advanced” , “ for

the first time”, “Fastest” rather than what is needed The initial model was need and then invention or solution Now first invention and then marketing needs At times new technology announced may be because we

have failed to achieve what we promised in last technology. It is not that what power, infra is available that will lead to

technology…it is the reverse technology demands so and so power and infra

Compulsion of researchers to see world as one market and make technologies that can make best money in shortest possible time frame

So question is does technologies suit for rural communications? What about like MARR, Cor dect?

Telecom Standards

Who makes the standards?Largely the technology inventors, taking into account

what they have made.Result is standards largely dominated for urban areas and

elite people.We have seen apple I phone, ipad, 4G, 5G…never heard of

minus 1G for rural areas or a 5 USD handset for rural areas.

Compliments to GIFSI and ITU, who have been doing great job for rural standards.

So question is what else is needed for specific standards for rural areas across the globe?

Equipment Suppliers

Thanks to global market,. we see limited equipment suppliers across globe Manufacturers depend upon volumes for cost optimization, which

rural communication evades Difficulties in providing after sale service, maintenance to large

scattered rural areas across globe with highly qualified and talented engineers and technicians.

Each and every company inn globe swear for rural communications’ and vigorous Research & Development and innovations.

So question is do we need new strategies by global manufacturers or is there need for localized manufacturers with support from global companies ?

Service Providers

Thanks to mergers and acquisitions, we see few service providers for fixed line and mobile. They need to invest heavily in infrastructure, licenses, regulatory

compliances. Service providers face brunt of customers expectations for the hypes

created by Technology providers Service providers answerable to their shareholders have to be

necessarily look for profits. Unfortunately rural Communications is comparatively seen as

nonviable. So first question is if rural communication is non viable, why not to drop

it all together? And second question is if there is need for a separate class of operators

dedicated for rural areas?

Multi Government fundings

Several Schemes, funds, incentives by several agencies for rural areas development ITU, UN does a lot Almost every Country has USO for telecom Departments of rural development, health, roads, Panchayts,

employment generation, electricity, education, drinking water, housing, alternate energy, and so on have several rural development plans, incentives and funds

A Big Question should Govt. ( and all its departments) take telecom, mobile, spectrum for big moneys or for development?

Question is if these schemes need to be coordinated in a effective way for sustained growth?

Government’s assistance in Telecom Sector

In India the assistance under USO is limited to service operators.In USA when President Obama announced plans or

broadband, the assistance was extended to department of rural and agriculture development.

So question is if there is need for extending assistance under USO and other schemes to manufacturers, technology providers, local bodies for rural communications?

Major policy stakeholders

Telecom Operators, Equipment Suppliers, Technology providers

Ministries - design and implement communication policies (e.g., Communication, Infrastructure, Rural Development, Food and Agriculture, Science and Education)

Media outlets - TV, radio, print, internet, either private, public or from the civil society;

Representatives of farmers’ or rural peoples’ organisations – to collect and formulate the

communication needs of their clients; Development organisations for policy advice and

harmonisation of development interventions.

On Innovations

Any “invention” is not a one time thing rather its a tool that needs to

constantly evolve time and again to cater different ad-hoc tastes of people and even a “re-invention” to change how we communicate and how we think.

With technology, we ride high on efficiencies and usability it brings along with it, less concerned about its penetration in the society and its adoption demographics.

About CMAI

CMAI prime Integrated Association of India representing all verticals of ICE, telecom sector of India in India having more than 54 MOUs with International

organizations with branch offices in USA, UK, Japan, Korea, Singapore, Taiwan, China and Malaysia.

48,500 MEMBERS It offers one window service for information dissemination, guidance on

setting up businesses in India. It connects to Industries, Government, Trade and Business It is involved in policy formulations with Government and other stake

holders for Technology Innovations, Indigenous manufacturing It is developing scientific knowledge and practical means for protecting

human ecology and environment from the harmful effects of environmental hazards like e waste, radiation etc.

It assists manufacturers to maximize competitiveness in the domestic and international markets.

It also offers consultancy services on turn key basis through its member companies

So what is Task?

The task is not just an issue of Resources and Technologies, nor of hardware and software. It is also a matter of wise priorities, good policies, intelligent leadership, transparent decision, and population involvement.

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